3.1.1.Product Life Cycle4
3.1.2.BCG Growth Share Matrix4
3.2.Promotional Tool Evaluation5
3.3.The Creative Marketing Mix6
3.3.2.Branding, USP and Consumer Psychology6
3.3.4.Place (Channels, Coverage, Locations, Inventory, Transport).7
3.4.Schedule and Timescale8
3.4.1.First: Build Excitement8
3.4.2.Then: Create Awareness8
3.4.3.Finally: Build Product Knowledge8
4.Conclusion and Recommendation9
6.1.1.Price Analysis Commentary14
6.2.Target Market Profile14
“We are living in a century of idea diffusion. The people who know how to spread ideas, regardless of what those ideas are, win” (Godin, 2003).
Camborne Ices are looking to spread the idea of their new luxury flavour, chili-red, through an understanding of the target market and competition. This report provides a comprehensive promotional tool evaluation, considers the marketing mix, and outlines a schedule of activities for the product launch.
This report illustrates how our strategic approach to marketing communications helps strengthen our brand. We are well positioned to build social and ethical considerations into our marketing practices.
Product Life Cycle
We have considered the lifecycle since McDonald and Morris (2004) state, “key characteristics of the marketing mix have to be modified as the product moves through the lifecycle”.
In this introduction stage we emphasize product uniqueness. Baourakis (2004) says: “successful products are characterized by more personal selling in the early stage of the product lifecycle”.
BCG Growth Share Matrix
Chili-red is in the question mark quadrant. We are discovering how strong the market is, and are considering whether to continue investing based on the results of the launch. We have a build strategy as defined by Kotler (2010 p. 43), aiming to “increase market share, even forgoing short-term earnings if necessary”. “Question marks generate costs in terms of promotion while returning little” (The Times). We hope to turn the new flavour into a cash cow.
When selecting the promotional tools we have considered both above the line and below-the-line mediums, the reach of the media, frequency of transmission, and potential impact on the customer. Criteria for evaluation are estimated cost, benefit and effectiveness
We use a mix of online and offline mediums because “together they can outperform single use by 124%” (Lees, 2010).
Promotional Tool Evaluation
| Tool | Cost| Benefit| Effectiveness and Commentary|
Advertising Mediums: (Promote, Remind, Support, Compete, Persuade)| TV Advertising| | | Builds brand, but costly.| | Internet | | | Cost effective|
| Industry Magazines| | |
| Wraparounds on cars and buses| | |
| Newspaper| | | |
| Radio| | | |
| Telephone| | | |
| Direct Marketing(Post, Email)| | |
Creates individual customer relationship|
| Article Submissions| | | |
| Public Relationsbuild awareness by generating stories in the media| | | | | Persons / Celebrity | | | |
| Product placement| | | Very expensive.|
| Collateral material| | | Cheap, but effective.|
| Internet banner ads| | | Will bring people to the website, but might not encourage a sale. Better for non-perishables.| | Launch events| | | Will create a big splash in the market and get people talking about our brand| | Search engine optimization| | | Might not encourage sales| |...